Apple working on 9-inch iPod touch?

TechCrunch heard from three sources that Apple is working on a large-screen version of its iPod touch. The site claims these portable multimedia players will have a 7" or 9" screen, word is going around that Apple has finished prototypes and is now talking to OEMs about mass production.

Apple has been experimenting internally with large form tablet devices for years, one source says, but there was concern that users wouldn’t like the device. The difference now is the iTunes app store, which has thousands of games and other applications that are perfect for a touch screen device with an accelerometer. Apple says more than 300 million applications have been downloaded since the App Store launched in July 2008. Combine the App Store, iTunes and a browser and you have one heck of a device.

We don’t have any information on pricing. The current iPod touch, with a 3.5 inch screen, starts at $229. The 32 GB model is $399. We expect the price on the larger iPod touch to be significantly higher.